United Way’s $11.6-Million Pool Is No Change From Past 2 Years

United Way in Orange County announced Thursday that its 121 member agencies next year will receive a total of $11.6 million--the same amount they have received for the past two years.

Donations so far this year have remained about the same as in 1987. In 1986 and 1987, donations dropped a total of 13% from their level in 1985.

The United Way board of directors also announced on Thursday that beginning in 1992 the agency will implement a change in the way it distributes money in an effort to be more flexible to current needs. In that year, 90% of the money will be allocated to member agencies, as all of it is now. The other 10% will be used for funding special programs for specific periods of time.

United Way now guarantees money to its member agencies indefinitely, providing that the money can be raised. Under the new plan, special projects could receive money for one to five years.

In preparation for the new plan, the United Way in 1990 will start putting away money for the special fund.

The new approach to funding will “improve our response to community problems as community problems change,” said David C. Jones, chairman of the fund distribution committee for the United Way in Orange County.

Much of the plan’s success will depend on whether the United Way can restore funding to the pre-1986 level, officials said. But Jones also predicted that donations will double by 1992. “It’s an objective that we’ve committed to,” he said. “We know that the potential is here. . . . We’ve just kind of unleashed ourselves to be able to find vehicles to meet our needs.”

Contributions to United Way plummeted after a controversy involving the Los Angeles United Way. At least three officials of that agency were forced to resign after disclosures of personal loans totaling more than $300,00 in agency money to five employees.

The tainted public image from that episode in Los Angeles, changing tax laws and tough economic times were blamed for the lean years of 1986 and ’87 for the Orange County United Way, which followed nearly a decade of steady growth.

The flexible funding program announced Thursday worried some member agencies when it was first proposed in June, said Mel Roth, executive director of Jewish Family Services, which receives more than $100,000 annually from United Way.

Roth said that, among agencies that receive United Way money, there initially was “a great deal of concern and in some cases alarm” over the program. But, Roth said, those fears since have been alleviated.

“There is general acceptance and support for the fund-raising system so that the United Way can be flexible to respond to community demand,” Roth said. “No longer are agencies just beneficiaries.”

1989 ORANGE COUNTY UNITED WAY DONATIONS

Where the Money Goes

Non-member Designations: 2.0%

Fund Raising: 6.0%

U.W. America Membership: 1.2%

Management: 5.9%

Adult/Senior Services: 1.0%

Communications: 1.5%

U.W. Services to Community: 3.8%

Health: 17.6%

Family Support: 9.9%

Disabled: 9.1%

Community Development: 6.9%

Emergency Services: 13.5%

Drug/Crime Diversion: 2.8%

Youth Development: 18.8%

Where the Money Comes From

Special Gifts from Individuals in the Community: 3%

Corporate Contributions: 26%

Employee Contributions: 71%

1989 Orange County United Way Agency Allocations: The Top 10

1. American Red Cross: $1,185,316

2. Boy Scouts of America: 702,346

3. American Cancer Society: 562,886

4. Girl Scout Council of O.C.: 470,778

5. Catholic Charities: 397,382

6. YMCA of Orange County: 348,410

7. Rehabilitation Inst. of O.C.: 300,006

8. United Cerebal Palsy: 291,506

9. Goodwill Industries: 289,398

10. Children’s Hospital of O.C.: 282,250

Source: United Way of Orange County